MCHP Q4 2025

Q3 2026 Q2 2026 Q1 2026 Q4 2025

Earnings

Microchip Technology posted a better-than-expected fiscal fourth quarter, with revenue of $970.50 million edging past the $951.29 million consensus by 2.02% and non-GAAP EPS of $0.11 beating the $0.10 estimate by 10%, even as both metrics reflected t… Read more Microchip Technology posted a better-than-expected fiscal fourth quarter, with revenue of $970.50 million edging past the $951.29 million consensus by 2.02% and non-GAAP EPS of $0.11 beating the $0.10 estimate by 10%, even as both metrics reflected the ongoing severity of an industry downcycle that pushed net sales down 26.8% year over year. The clearest signal of a potential inflection came from the demand side, where the company recorded its first positive book-to-bill ratio in nearly three years, with April bookings exceeding any month in the March quarter, giving management confidence that the period marks a cyclical trough. Inventory reduction also stood out, with overall inventory dollars falling $62.80 million and balance sheet inventory days declining by 15 days sequentially. On the balance sheet, a mandatory convertible preferred offering helped reduce total net debt by roughly $1.30 billion during the quarter. Looking ahead, Microchip guided Q1 fiscal 2026 revenue of $1.02 billion to $1.07 billion, a return to sequential growth, though analysts remain divided on whether the valuation fully reflects the risks that still linger, including tariff uncertainty and a prolonged recovery timeline.